Journal of European Real Estate Research最新文献

{"title":"Auditor choice in real estate firms: a quality signal?","authors":"Peter Palm, Helena Bohman","doi":"10.1108/jerer-09-2022-0026","DOIUrl":"https://doi.org/10.1108/jerer-09-2022-0026","url":null,"abstract":"PurposeReal estate is a capital-intensive industry for which the asset values tend to be highly volatile and uncertain. Transaction costs in the industry are therefore high, and transparency for investors may be low. The need to signal reliable estimates of property assets, in the communication to external stakeholders, can therefore be expected to be of extra importance in this sector. The purpose of this paper is to investigate how real estate firms use big four auditors to signal quality.Design/methodology/approachThe authors use Swedish firm level data containing all limited liability real estate companies in the country to determine the determinants of big four auditors. The data set consists of 34,306 observations and is analyzed through logit regressions.FindingsThe results show that big four companies are primarily contracted by large and mature companies, rather than new firms or firms with volatile financial records, although the latter could be expected to have a large need to signal quality. The authors also find that firms listed on the stock market and firms targeting public use real estate are more inclined to use big four companies.Originality/valueReal estate is a capital-intensive industry for which the asset values tend to be highly volatile and uncertain. Transaction costs in the industry are therefore high, and transparency for investors may be low. The need to signal reliable estimates of property assets, in the communication to external stakeholders, can therefore be expected to be of extra importance in this sector. No prior study of this area has been detected.","PeriodicalId":44570,"journal":{"name":"Journal of European Real Estate Research","volume":"13 1","pages":""},"PeriodicalIF":1.3,"publicationDate":"2023-05-22","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"84133374","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

{"title":"Editorial: Real estate investment and corporate decisions","authors":"P. Taltavull","doi":"10.1108/jerer-05-2023-070","DOIUrl":"https://doi.org/10.1108/jerer-05-2023-070","url":null,"abstract":"The real estate market is constantly evolving, influenced by a variety of factors, both global and local. Recent events such as an increase in inflation and global unrest have had significant impacts on the real estate market, affecting everything from residential access to changes in office usage and investment strategies. To better understand these shocks and identify new patterns of behavior, it is essential to analyze historical data and conduct innovative research. In Volume 16(1), a collection of papers shed light on some of the most pressing issues facing the real estate market today. For example, Rubinacci, Marzano and Piselli present a historical perspective on price cycles and residential transactions in Italy. Their analysis highlights the importance of credit cycles in shaping the market and demonstrates how this phenomenon is consistent across different countries. Other papers in this volume explore various aspects of real estate investment decisionmaking. Autio, Pulkka and Junnila examine how corporate investment strategies are changing in response to market competition, while Fadeyi, McGreal, McCord and Berry investigate the impact of long-term perspectives on investment decisions in the London office market. Another critical change in the real estate market is the concept of the workplace. Tsolacos, Lee and Tse explore the rise of co-working and how this new form of office space usage is affecting decision-making. With tenants placing more value on flexibility and well-being, companies are evaluating offices not just on their physical characteristics and location but also on their ability to provide services. Two papers in this volume examine the role of real estate brokers in the market. WiejakRoy analyzes how vendor due diligence affects values and real estate transactions, while Ahlenius and K agstr€om investigate the role of rewards in job satisfaction among Swedish brokers. Finally, Maier and Reyman analyze the institutional factors affecting real estate development in SilesianMetropolitan Areas, while Oladiran, Sunmoni, Ajayi, Abbas and Guo explore the attributes of university students’ accommodation in online searches. Through these studies, it becomes clear that real estate is intimately connected to many other aspects of politics and the economy. As such, it is essential to stay informed and conduct innovative research to better understand the market’s complexities and plan for the future. I hope you enjoy reading this issue.","PeriodicalId":44570,"journal":{"name":"Journal of European Real Estate Research","volume":"13 10 1","pages":""},"PeriodicalIF":1.3,"publicationDate":"2023-05-11","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"82772653","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

{"title":"‘Space-as-a-service’: A premium to office rents?","authors":"S. Tsolacos, Stephen Lee, H. Tse","doi":"10.1108/jerer-10-2021-0049","DOIUrl":"https://doi.org/10.1108/jerer-10-2021-0049","url":null,"abstract":"PurposeThis study aims to examine the impact of “space-as-a-service” (SAAS) provision on office rents in the UK and quantify premia to office rents.Design/methodology/approachUsing hedonic modelling techniques the authors are able to quantify the impact of a number of SAAS features on office rents in the City of London using CoStar data. The authors control for the quality of the buildings by focussing on five-star buildings, rated by CoStar, as these buildings are more likely to incorporate SAAS features.FindingsUsing data on 317 transactions in 37 City of London Office buildings over the period 1 November 2004–15 July 2020, the authors find that tenant exclusive mobile applications (MAPPS) and a public terrace or rooftop command a rent premium of around £13 and £6.5 per sq. ft per annum, respectively. However, other SAAS features such as conferencing facilities, on-site fitness centre and touch down space have no significant impact on office rents. The impact of exclusive MAPPS varies with size of net lettable area.Research limitations/implicationsThe SAAS real estate model is an emerging trend in the office market. As it grows in importance more research questions will have to be investigated. The present study raises awareness of the need to specify SAAS features and form a rating system that will facilitate future research on the subject.Practical implicationsThe conclusion from the present investigation is that only two SAAS features have a positive impact on office (tenant exclusive mobile apps and a public terrace or rooftop), which suggest that these two features may form the basis of any future SAAS rating system. These two SAAS components should carry more weight in valuations and pricing.Originality/valueTo the best of the authors’ knowledge, this is the first study that attempts to quantify the impact of SAAS features on office rents.","PeriodicalId":44570,"journal":{"name":"Journal of European Real Estate Research","volume":"84 1","pages":""},"PeriodicalIF":1.3,"publicationDate":"2023-04-24","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"89854624","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

{"title":"Fat cats or sociable wolves? Swedish real estate brokers and intrinsic rewards\u0000 - A quantitative empirical generalization","authors":"Martin Ahlenius, Jon Kågström","doi":"10.1108/jerer-09-2022-0024","DOIUrl":"https://doi.org/10.1108/jerer-09-2022-0024","url":null,"abstract":"\u0000 Purpose\u0000 Intrinsic motivation affects job satisfaction and turnover intention. Still, previous motivational studies among real estate brokers (brokers) have primarily focused on extrinsic rewards, leaving intrinsic rewards/motivation practically unexplored. The purpose of this study is therefore to evaluate the role of both satisfaction with intrinsic rewards (SIR) and satisfaction with extrinsic rewards (SER) on job satisfaction and turnover intention among Swedish brokers.\u0000 \u0000 \u0000 Design/methodology/approach\u0000 This article is a replication, more precisely an empirical generalization and extension, of Mosquera\u0000 et al\u0000 .’s (2020) study conducted among brokers in Portugal. Using a sample of 910 Swedish brokers, the study analyzes a conceptual framework and tests hypotheses by using partial least squares (PLS).\u0000 \u0000 \u0000 Findings\u0000 Results indicate that SIR has a very strong impact on job satisfaction, which is not the case in the Portuguese sample. On the other hand, SER does not have an impact on job satisfaction, which is the case in the Portuguese sample. SIR does not have an impact on turnover intention in the Swedish sample, whereas SER does. Job satisfaction has twice the positive impact on turnover intention in the Swedish sample compared to the Portuguese. Furthermore, job satisfaction mediates the relationship between SIR/SER and turnover intention.\u0000 \u0000 \u0000 Research limitations/implications\u0000 Findings of this study extend the existing literature of satisfaction with extrinsic and in particular intrinsic rewards on job satisfaction and turnover intention in the context of the brokerage industry. The most interesting difference between the samples is that Swedish brokers display much higher levels of satisfaction with intrinsic rewards. On the other hand, Swedish brokers appear to be less driven by extrinsic rewards, which is not in line with prior studies within brokerage.\u0000 \u0000 \u0000 Practical implications\u0000 Both managers and students planning to become brokers should consider that SIR has a stronger impact on job satisfaction than SER. What are perceived as intrinsic rewards, however, is highly subjective, which is troublesome from a managerial perspective, even more so as SIR is much harder to influence than SER. Given that intrinsic motivation is primarily a consequence of needs fulfillment, screening of applicants for person-job fit ought to increase job satisfaction and reduce turnover given its focus on the congruence between job demands and worker’s needs, respectively, what a job provides and the worker’s needs.\u0000 \u0000 \u0000 Originality/value\u0000 This study contributes to the brokerage research field by indicating that being a broker differs substantially between countries and that intrinsic rewards matter for Swedish brokers.\u0000","PeriodicalId":44570,"journal":{"name":"Journal of European Real Estate Research","volume":"34 1","pages":""},"PeriodicalIF":1.3,"publicationDate":"2023-04-14","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"91292187","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

{"title":"Creating a strategy framework for investor real estate management","authors":"Pauli Autio, Lauri Pulkka, S. Junnila","doi":"10.1108/jerer-09-2022-0027","DOIUrl":"https://doi.org/10.1108/jerer-09-2022-0027","url":null,"abstract":"PurposeThe aim of this paper is to introduce a framework that helps to identify strategic themes on which real estate investors form their strategies. A holistic approach to strategic management in real estate management has enjoyed popularity in corporate real estate research, while similar research has been lacking from the investor-based real estate management.Design/methodology/approachThe research design consists of two main parts: 1) formulating propositions based on existing literature and 2) attempting to validate the propositions through a qualitative interview study with major real estate owners in Finland.FindingsThe main finding is that the current real estate investors reflect the transient nature of competitive advantages and assess their strategies accordingly. The companies consider the traditional profitability and revenue growth aspects of their business but also a more long-term future growth dimension. As an outcome, the investors base their strategies on eight strategic themes which are “Innovation”, “ESG”, “Marketing and sales”, “Financial management”, “Leasing management and tenant satisfaction”, “Competitive environment and portfolio management”, “Outsourcing and strategic partnerships” and “Cost and operation optimization”.Research limitations/implicationsThis paper opens opportunities for future research concerning different strategies in real estate investment business and their impacts.Practical implicationsThe presented framework provides support for real estate investors to create real estate management strategy or to evaluate their current strategy and to recognize operational actions and decisions that are relevant for their strategy.Originality/valueThis paper provides an extension to corporate real estate (CRE) literature by showing that the CRE theories are adaptable to real estate investment and provide value for their strategic management. This paper also contributes to real estate investment literature by providing a well-founded and empirically contested strategic management framework, the IREM framework, for identifying strategic themes on which real estate investors form their strategies.","PeriodicalId":44570,"journal":{"name":"Journal of European Real Estate Research","volume":"1 1","pages":""},"PeriodicalIF":1.3,"publicationDate":"2023-04-10","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"89008356","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

{"title":"Editorial: From macro to micro analysis: new findings from real estate markets in Europe","authors":"P. Taltavull","doi":"10.1108/jerer-11-2022-069","DOIUrl":"https://doi.org/10.1108/jerer-11-2022-069","url":null,"abstract":"The post-pandemic effect on the economy is affecting real estate markets. The rise in inflation and disruption to supply channels, in addition to the increase in risk due to the Ukrainian war, are changing the way in which markets work and reach equilibrium. In this issue, some of the mechanisms to understand real estate market performance are analysed, particularly focussing on real estate prices. The new evidence contained in the manuscripts can be grouped into three categories. The first one contains research with a more macro perspective. The second category contains new evidence of how transactions are related to brokerage features, while in the third, research using spatial econometric tools, an increasingly used method in real estate, appear. The first group has a more macro focus on the general trends affecting real estate markets.","PeriodicalId":44570,"journal":{"name":"Journal of European Real Estate Research","volume":"24 1","pages":""},"PeriodicalIF":1.3,"publicationDate":"2022-10-17","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"74594004","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

{"title":"Buyer behaviour and price expectations: a spatial analysis of the Athens residential market","authors":"M. White, D. Papastamos","doi":"10.1108/jerer-03-2020-0013","DOIUrl":"https://doi.org/10.1108/jerer-03-2020-0013","url":null,"abstract":"PurposeThis paper examines the price setting behaviour over time and space in the Athens residential market. In periods of house price inflation asking prices are often based upon the last observed highest selling price achieved for a similar property in the same micro-location. However, in a falling market, prices may be rigid downwards and less sensitive to the most recent transaction prices, weakening spatial effects. Furthermore, the paper considers whether future price expectations affect price setting behaviour.Design/methodology/approachThe paper employs a dataset of approximately 24,500 property values from 2007 until 2014 in Athens incorporating characteristics and locational variables. The authors begin by estimating a baseline hedonic price model using property characteristics, neighbourhood amenities and location effects. Following this, a spatio-temporal autoregressive (STAR) model is estimated. Running separate models, the authors account for spatial dependence from historic valuations, contemporaneous peer effects and expectations effects.FindingsThe initial STAR model shows significant spatial and temporal effects, the former remaining important in a falling market contrasting with previous literature findings. In the second STAR model, whilst past sales effects remain significant although smaller, contemporaneous and price expectations effects are also found to be significant, the latter capturing anchoring and slow adjustment heuristics in price setting behaviour.Research limitations/implicationsAs valuations used in the database are based upon comparable sales, then in the recessionary periods covered in the dataset, finding comparables may have become more difficult, and hence this, in turn, may have impacted on valuation accuracy.Practical implicationsIn addition to past effects, contemporaneous transactions and expected future values need to be taken in consideration in analysing spatial interactions in housing markets. These factors will influence housing markets in different cities and countries.Social implicationsThe information content of property valuations should more carefully consider the relative importance of different components of asking prices.Originality/valueThis is the first paper to use transactions data over a period of falling house prices in Athens and to consider current and future values in addition to past values in a spatio-temporal context.","PeriodicalId":44570,"journal":{"name":"Journal of European Real Estate Research","volume":"6 1","pages":""},"PeriodicalIF":1.3,"publicationDate":"2022-09-16","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"78833377","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

{"title":"Strategic vendor due diligence in real estate transactions","authors":"G. Wiejak-Roy","doi":"10.1108/jerer-04-2022-0012","DOIUrl":"https://doi.org/10.1108/jerer-04-2022-0012","url":null,"abstract":"PurposeIn light of the ever-growing complexity of real estate transactions, the need for vendors and buyers to better understand the role of vendor due diligence (VDD) is imperative. The purpose of this paper is twofold: firstly, it provides a detailed literature review regarding the role of VDD from both the vendor's and buyers' perspectives. Secondly, it analyses the value of VDD over and above the buyer's due diligence (BDD) in real estate transactions by proposing a theoretical model involving two-stage auctions.Design/methodology/approachReal-world examples from the industry are used as a motivation behind listing a set of practical questions. A theoretical construct is built to approximate the real estate environment under study. The construct is then studied from a game-theoretic perspective to obtain theoretical answers to the questions. These answers are then used to shape recommendations for the relevant industry and beyond.FindingsThe model suggested accommodates the feature that even though the VDD is broadly increasing informational efficiency in the market, its value is limited and sometimes harmful when the vendors have a sound prior understanding of their assets and the buyers' pre-transaction information about the asset is already high.Originality/valueThough the real estate market is considered here, the theoretical model we propose is applicable to any other complex asset transaction decision that supports endogenous information disclosure considerations using VDD.","PeriodicalId":44570,"journal":{"name":"Journal of European Real Estate Research","volume":"28 1","pages":""},"PeriodicalIF":1.3,"publicationDate":"2022-08-22","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"81654828","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

{"title":"Identifying how the time on the market affects the selling price: a case study of residential properties in Paphos (Cyprus) urban area","authors":"Philippos Nikiforou, T. Dimopoulos, P. Sivitanides","doi":"10.1108/jerer-11-2021-0051","DOIUrl":"https://doi.org/10.1108/jerer-11-2021-0051","url":null,"abstract":"PurposeThe purpose of this study is to investigate how the degree of overpricing (DOP) and other variables are associated with the time on the market (TOM) and the final selling price (SP) for residential properties in the Paphos urban area.Design/methodology/approachThe hedonic pricing model was used to examine the association of TOM and SP with various factors. The association of the independent variable of DOP and other independent variables with the two dependent variables of TOM and SP were investigated via ordinary least squares (OLS) regression models. In the first set of models the dependent variable was TOM and in the second set of models the dependent variable was SP. A sample of N = 538 completed transactions from Q1 2008 to Q2 2019 was used to estimate the optimum DOP that a seller must apply on the current market value of a property in order to achieve highest SP price in the shortest TOM.FindingsThe results of this study also suggest that the degree of overpricing in thin and less transparent markets is higher than that in transparent markets with high property transaction volumes. In mature markets like the USA and the UK where the actual sold prices are published, the DOP is around 1.5% which is much lower than the 11% DOP identified in this study.Practical implicationsIt was found that buyers are willing to pay more for the same house in a bigger plot than a bigger house in the same plot. The outcome is that smaller houses sell faster at a higher price per square meter than larger houses. Smaller houses are more affordable than larger houses.Social implicationsThere is a large pool of buyers for smaller houses than bigger houses. Higher demand for smaller houses results in a higher price per square meter for smaller houses than the price per square meter for bigger houses. Respectively the TOM for smaller houses is shorter than the TOM for bigger houses.Originality/valueThe database used is unique, from an estate agent located in Paphos that managed to sell more than 27,000 properties in 20 years. This data set is the most accurate information for Cyprus' property transactions.","PeriodicalId":44570,"journal":{"name":"Journal of European Real Estate Research","volume":"131 1","pages":""},"PeriodicalIF":1.3,"publicationDate":"2022-08-05","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"85626175","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

{"title":"Drivers behind the accuracy of self-reported home valuations: evidence from an emerging economy","authors":"M. Tomal","doi":"10.1108/jerer-02-2022-0004","DOIUrl":"https://doi.org/10.1108/jerer-02-2022-0004","url":null,"abstract":"PurposeThis paper aims to explore the drivers behind the accuracy of self-reported home valuations in the Warsaw (Poland) housing market.Design/methodology/approachIn order to achieve the research goal, firstly, unique data on subjective residential property values estimated by their owners were compared with market-justified ones. The latter was calculated using geographically weighted regression, which allowed for taking into account spatially heterogeneous buyers' housing preferences. An ordered logit model was then used to identify the factors influencing the probability of the occurrence of bias towards over or undervaluation.FindingsThe results of the study revealed that, on average, homeowners overvalued their properties by only 1.94%, and the fraction of interviewees estimating their properties accurately ranges from 20% to 68%, depending on the size of the margin of error adopted. The drivers of the valuation bias variation were the physical, locational and neighbourhood attributes of the property as well as the personal characteristics of the respondents, for which their age and employment situation played a key role.Originality/valueIn contrast to previous studies, this is the first to examine drivers behind the accuracy of self-reported home valuations in a Central and Eastern Europe country. In addition, this work is the first to consider heterogeneous housing preferences when calculating objective property values.","PeriodicalId":44570,"journal":{"name":"Journal of European Real Estate Research","volume":"5 1","pages":""},"PeriodicalIF":1.3,"publicationDate":"2022-07-20","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"88832173","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}